GS Finance plans autocallable contingent coupon notes tied to indexes

By Devika Patel

Knoxville, Tenn., Nov. 30 – GS Finance Corp. plans to price autocallable contingent coupon index-linked notes due June 17, 2020 linked to the Russell 2000 index and the Euro Stoxx 50 index, according to a 424B2 filing with the Securities and Exchange Commission.

The notes are guaranteed by Goldman Sachs Group, Inc.

The notes will pay a contingent quarterly coupon at an annual rate expected to fall between 9.5% and 10.5% if each index closes at or above 70% of its initial level on the observation date for that quarter. The exact coupon will be set at pricing.

Beginning on June 10, 2019 and ending on March 10, 2020, the notes will be called at par plus the contingent coupon if each index closes at or above its initial level on any quarterly review date.

The payout at maturity will be par plus the final coupon if any unless either index closes below 70% of its initial level on any trading day during the life of the notes and either index finishes below its initial level, in which case investors will lose 1% for each 1% decline of the worse performing index.

Goldman Sachs & Co. is the agent.

The notes (Cusip: 40056EKQ0) will price on Dec. 10 and settle Dec. 13.

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